By Glenn S. Demby, Esq.
Although the “overworked intern” lawsuit is getting all the headlines*, the business move the Olsen twins just made may be a lot more significant in the long-term. Ashley and Mary-Kate Olsen have decided to bring their Elizabeth & James fashion brand in-house. The Olsens launched Elizabeth & James in 2007 as a contemporary spinoff of “The Row,” tabbing LA-based Jaya Apparel Group as licensee. Although it was a successful eight-year run, the Olsens have decided not to renew. Jaya says it’s purely contractual and there doesn’t seem to be any bad blood. Jaya will apparently stay on as a licensee for the Olsens’ Olsenboye label.
What the move may signal is the Olsens’ desire to play a more active role in day-to-day operations—perhaps not just for Elizabeth & James but the twins’ other labels.
* On August 14, 40 current and previous interns brought a class action lawsuit against Dualstar Entertainment, the parent company of Elizabeth & James and The Row, for allegedly not paying them wages to perform menial tasks. Dualstar has denied the charges and vowed to mount a vigorous defense in court.